Equity Technical Studies

Friday, November 8, 2019

Higher High in HDFCAMC & RADICO Trading in Channel

Here we are going to discuss very simple and basic chart pattern i.e. “Higher-Highs” and “Higher-Lows”. Below we can see the daily chart of HDFCAMC, as we have shown the behaviour of the stock price from 18^th June 2019. After see the chart anyone can predict the next moment.

HDFC has formed this Mutual Fund Company with Standard Life Investments and holds approx. 57.4% of its shares. It manages 44 schemes comprising debt, equity, exchange-traded fund and fund of fund schemes. It is ranked first in the industry in India on the basis of Average Assets under management.

Technical Overview of HDFCAMC: In this volatile market stock has performed well and now trading near Lifetime Highs. The stock has given bounce exactly from the previous top i.e. Higher-High and stock is continuing this trend. On the last trading day, the stock price has given Breakout to the previous Higher-High and made a new one. The volume is double than average volumes on breakout day. Also, if we see a monthly chart then all are green candles of the last 9 months and the stock price has increased by 1816 points in this period i.e. 132%. We are expecting more rally in the stock price.

We can buy stock from current levels or on dips till 3150-3140 for targets of 3300/3350/3400/++. Advice to keep a stop loss of 2950 on a closing basis.

Technical Overview of RADICO: The stock is trading in a channel on the daily chart and it has made the first top on 28^th June 2019 i.e. around 332. After that stock price has tried to cross first top but not succeed and fallen down from the same levels. Currently, the stock is showing the strength of breakout to channel and trading near its 200 DMA. Once a stock price is cross 200 DMA and closes above then there are more chances of channel breakout.

Currently, the stock is trading at the center of the channel, so we have to wait till breakout or fall up to channel support.

Click on the below links to join our Intraday Calls channel or visit our website www.money4me.in for training course details.

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Disclaimer: The contents produced here are purely for educational purposes. They should not be construed as buy/sell recommendations. I am not a SEBI registered Analyst or Investment Advisor. Readers are advised to consult their Investment advisor before taking any decisions based on the above write-up.
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Saturday, November 2, 2019

Breakout In LUPIN & 100% H&S In Federal Bank

If we talk about the pharma sector then the overall sector is in the downtrend. Other than this some stocks are making bottom on the chart and ready to change their trend for short to medium term. From this, we have to find the best stock as per the technical chart as well as fundamental and recently our screener has caught one pharma stock i.e. Lupin which is looking good on the chart for the short term.

Technical Overview of LUPIN: We can clearly see the Inverted Head & Shoulder breakout has confirmed on the daily chart. The second shoulder is too small in comparison to the first one. However, we can consider this and volume also good on breakout day. After breakout stock has resisted from 200 DMA i.e. around 775. With this breakout, the stock has given confirmation of Higher Low and now trading at Higher High.

We are suggesting you take a buy position here i.e. 766 or wait for dip till 750 to reduce your risk. Keep stop loss of 725 and hold for targets of 780/790/800++. Once stock will cross and closes above 780 then big move expected.

We have found one more stock from the banking sector, which has completed Head & Shoulder on the weekly chart. Nowadays major bank stocks like SBIN, ICICBANK, and HDFCBANK are looking good bullish on the chart and these are leading to bank index.

Technical Overview of FEDERALBNK: This is the perfect example of the Head & Shoulder chart pattern. The reason is that both shoulders have made top around the same levels i.e. 97-98 and every time has given bounce from level of 80 as we have marked on the chart. In last week after 100% completion of H&S stock price has given bounce and closed around weeks high. We are expecting a bounce till the top of the second shoulder.

We can long Federal Bank from current levels for targets of 92/98/105. Keep stop loss of 80 on a closing basis.

Click on the below links to join our Intraday Calls channel or visit our website www.money4me.in for training course details.

Telegram: https://t.me/Intraday_King

Website: http://money4me.in/services.html

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